MS (China) Sports Company Limited (Group), a direct wholly-owned subsidiary of Xtep International Holdings Limited (Group) that operates under licensing and royalty agreements for the Merrell and Saucony brands and subsidiaries in China, is reporting second quarter (Q2) and first half (H1) 2025 retail trends for the company’s core Xtep and Saucony brands.
The prior joint ventures between Xtep and Wolverine Worldwide were terminated at the end of 2023, and the companies began operating under the new licensing and royalty agreements at the beginning of 2024.
Core Xtep Brand
For the three-month second quarter period ended June 30, the Group reported that the core Xtep brand achieved low-single-digit year-over-year growth in both offline and online channels in China, with a discount level of approximately 25 percent to 30 percent. The sales trend for the quarter was down sequentially for the second consecutive quarter, moderating from mid-single-digit percent growth in Q1 and high-single-digit percent growth in the 2024 fourth quarter.
For the six-month H1 period ending June 30, the core Xtep brand achieved mid-single-digit year-over-year growth in both offline and online channels in China.
The company reported that the Channel inventory turnover for the Xtep brand was four to 4.5 months.
Saucony
The Group stated that the Saucony brand posted over 20 percent year-over-year growth for its offline and online channels in China during the 2025 second quarter, half of the 40 percent growth in the 2025 first quarter and down sequentially from the ~60 percent growth in the 2024 fourth quarter.
For the six months ended June 30, Saucony saw sales increase over 30 percent y/y for the H1 period.
Image courtesy Saucony/Xtep International Holdings
